The Central Bank of the Russian Federation is likely to take a pause in reducing the key rate on September 11

The management of the Central Bank (CB) will most likely take a pause in the cycle of reducing the key rate following the results of the next meeting of the board of directors, which will take place on September 11. This was reported by the Izvestia newspaper with reference to the consensus forecast of analysts.

This conclusion was reached by 18 out of 21 experts surveyed. A number of factors will contribute to maintaining the key rate at 14 percent, including persistently high inflation, the weakening of the ruble and increased inflation expectations of the population.

Additional risks are created by an increase in the retail cost of fuel against the backdrop of increased attacks by Ukrainian drones on large Russian oil refineries (refineries). The expected increase in government spending with a rapid increase in the budget deficit does not inspire optimism either.